the amount of penalty is the same per thousand, or should be! therefore the penalty as a percentage of 10K will be the same as that of €100K.
If the money is coming as a gift and it must be put towards the mortgage immediately and you cannot put it on deposit until Nov 07, then you do not have much choice do you?
The only sugestion is to put hte money towards the mortgage as and when it is received and pay the penalty. You will be rewarded with lower payments every month, which will offset.
Would it be possibel to put the money into some form of interest bearing account, with the same institution? That way, the donor need not know that you are putting it on deposit temporarily as any receipt can be for a lodgement to the account. If doing that, I suppose you should give some form of undertaking to the institution that the money will be put against the mortgage in Nov 07. on expiry of the fixed rate term. Like the moralists of old, you are applying the money straight away against the mortgage, but not necessarily as the donor anticipated at the time of the donation.